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Employment contracts can specify a date when the employee will automatically be discharged from their position. Alternatively, the term of employment can be “at-will,” meaning the employee will work perpetually until either they or their employer decides to end the contract.
Contents |
Types (2)
Independent Contractor Agreement – Allows a freelancer to provide services to their client.
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Subcontractor Agreement – Used by a contractor to hire a subcontractor to complete a specific task in contribution to a larger project.
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Laws
- Labor Statutes: Labor Code
- Definition of Employee: § 21.002(7)
- Minimum Wage: $7.25/hr (§ 62.051)
- Overtime: Federal min. – one and a half (1.5) times the employee’s standard wage (29 C.F.R § 778.107).
- Record Keeping: Payroll records must be preserved for four (4) years (§ 815.106(i)).
At-Will Employment
Permitted? Yes, at-will termination is legal in Texas, with some exceptions. For example, at-will employment cannot be terminated for any of the following reasons:
- Discrimination against age, race, nationality, etc.;
- Attempting to file a claim for workers’ compensation;
- Refusing to commit a criminal act;
- Jury duty;
- Being called to serve in the military;
- Joining a union.
Other circumstances apply; this article contains a comprehensive list of exceptions where at-will termination is unlawful.